1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
boyakko [2]
3 years ago
10

Loni owns a software company and has a great idea for a new app. In order to build the app, she will need to hire a computer exp

ert for one year at a salary of $87,000. (Assume this is the only expense required to create this app.) However, she expects to make $99,000 by selling the app. Since Loni does not have any extra cash on hand, she goes to the bank, where they offer to lend her $87,000 with an annual interest rate of 15%. Should Loni take the loan and build the app?
Business
1 answer:
never [62]3 years ago
6 0

Answer:

No, Loni should not take the loan and build the app.

Explanation:

If she borrows $87,000 to build the app, at the end of the year she will have to pay $87,000 x (1+0.15) = 100,050 in principal and interest to the bank.

After selling the app she will get 99,000 - 100,050 = $1,050.

In other words, she will be making a loss.

You might be interested in
A useful way of standardizing financial statements is to choose a ____ and then express each item relative to the _____.
bulgar [2K]

The most useful way of standardizing financial statements is to choose a _<u>base year</u>,_ and then express each item in the period under review relative to the _amounts____ in the base year.

<h3>What are comparative financial statements?</h3>

Comparative financial statements compare a particular financial statement with previous statements. Previous financial statements are presented in side-by-side columns with the latest figures. With this, investors are able to track a company's progress over some periods and compare the company's financial results and performance with its industry competitors.

Thus, financial statements can be compared using financial ratios, which express the relationships between the various items within a financial statement, or using a base year.

Learn more about comparative financial statements and financial ratios here: brainly.com/question/9091091

4 0
2 years ago
Which of the following is acceptable behavior?
xz_007 [3.2K]

Answer:

All of the above.

5 0
3 years ago
On January 1, 2019, Fitbit goes public and issues 50 million shares at $20 per share. Fitbit had 200 million shares prior to goi
Elina [12.6K]

Answer:

$600 million

Explanation:

On January 1, 2020, the balance of common stock & APIC

Common stock & APIC = Paid-In Capital + Share Capital raised by issuing 50 million shares at $20 per share - Treasury Stock

Here

Paid-In Capital is $500 millions

Issue of 50 million shares at $20

Treasury Stock is 20 million shares at $45 per share

By putting the values, we have:

Common stock & APIC = $500 million + $1000 million - (20 million shares * $45 per share)

Common stock & APIC = $1500 millions - $900 million = $600 million

6 0
3 years ago
What are various options to regulate monopolies in the United States? <br><br> I’ll give brainliest
Darya [45]

Answer:

ok I'll give you what I know monopolies are one business operating so try and use that

3 0
3 years ago
Read 2 more answers
In a 1960s movie, an heiress sends out thousands of letters to shareholders in an attempt to have them vote for her and for the
Vitek1552 [10]

Answer:

The kind of corporate takeover technique implemented in the film is proxy fight.

Explanation:

A proxy fight is termed as a technique where two corporate factions ask the stakeholders for the proxy votes such that the right of voting is transferred.

In this case both the parties, the heiress as well as the opponent is asking for the right of vote from  stakeholders so that they can decide the corporate future. This is the key feature of the proxy fight and thus this is the correct option.

6 0
3 years ago
Other questions:
  • Taylor Bank lends Guarantee Company $117,933 on January 1. Guarantee Company signs a $117,933, 9%, nine-month note. The entry ma
    14·1 answer
  • "The economy is doing well when the level of real GDP<br> is at Potential GDP"<br> True<br> O False
    11·1 answer
  • Calculate the total revenue, total costs, and total gross profit the company will earn on the sale of L-Ten, Triol, and Pioze. A
    6·1 answer
  • The general ledger account for Accounts Receivable shows a debit balance of $50,000. The Allowance for Doubtful Accounts has a c
    8·1 answer
  • You are considering the following two mutually exclusive projects. The required return on each project is 12 percent. Which proj
    9·1 answer
  • 4. Which of the following do not have to be repaid by the business?
    9·1 answer
  • Which best compares and contrasts the teaching and training careers and the professional support careers? Both careers try to su
    14·2 answers
  • In the context of business ethics,. Involves clear misconduct, unline an ethical dilemma that involves a conflict
    11·1 answer
  • Cecilia has studied economics and knows about the value and investment potential of diamonds. the price of diamonds has recently
    14·3 answers
  • Mishandling and/or improperly managing a borrower’s funds is a practice prohibited by:___.
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!